Suspension
FAR 9.407 establishes the process and grounds for temporarily suspending contractors from federal contracting to protect government interests during investigations of serious misconduct.
Overview
FAR 9.407 covers the rules and procedures for suspending contractors from government contracting due to suspected wrongdoing or pending investigation. Suspension is a temporary action taken to protect the government's interests while allegations of fraud, criminal offenses, or other serious misconduct are investigated. This section outlines the causes for suspension, the process for implementing a suspension, the duration, and the scope of its application. It ensures that contractors who may not be responsible are prevented from receiving new contracts or subcontracts during the suspension period, but also provides due process protections for affected parties.
Key Rules
- Causes for Suspension
- Contractors may be suspended based on adequate evidence of criminal offenses, fraud, or other serious violations, or when an investigation is pending.
- Procedures for Suspension
- The government must follow specific procedures, including notifying the contractor, providing an opportunity to respond, and maintaining records.
- Period and Scope of Suspension
- Suspension is temporary, generally not exceeding 12 months unless legal proceedings are ongoing, and applies to all divisions or affiliates of the contractor unless limited by the suspension notice.
Responsibilities
- Contracting Officers: Must check the status of contractors before award and ensure compliance with suspension procedures.
- Contractors: Must respond to suspension notices and may contest the action.
- Agencies: Must document and justify suspensions, notify affected parties, and maintain records.
Practical Implications
- This section protects the government from doing business with potentially non-responsible contractors.
- Contractors must be vigilant about compliance and respond promptly to any suspension actions.
- Failure to comply or respond can result in loss of contracting opportunities and reputational harm.